President John Dramani Mahama yesterday assented to the COVID-19 Health Recovery Levy Repeal Act 2025.
This effectively scraps the one per cent charge imposed on goods, services and imports since the height of the COVID-19 pandemic.
The repeal follows Parliament’s passage of the bill last month as part of the government’s effort to eliminate what it has described as “nuisance taxes” and ease the cost of living for households and businesses.
The COVID-19 levy was introduced in 2021 under the COVID-19 Health Recovery Levy Act (Act 1068).
Signed into law on March 31, 2021, it placed a one per cent levy on the value of taxable supplies of goods and services in Ghana as well as on imports, except for items exempt under VAT rules.
The levy was not allowable as an input tax deduction, effectively and adversely increasing the tax burden on businesses and households.
It was charged in addition to existing consumption taxes, including Value Added Tax (VAT), the National Health Insurance Levy (NHIL) and the Ghana Education Trust Fund (GETFund) levy.
The repeal, which had the overwhelming support of both sides of the House, was to fulfil a promise President Mahama made to Ghanaians.
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